Nestlé USA is in a trademark dispute with two Mexican distributors, and the outcome could mean the end of a handful of beloved brands at your local grocery store.
According to Axios, Nestlé USA is headed to federal court in November after it filed a lawsuit in 2020 against Ultra Distribuciones Internacionales and Ultra Distribuciones Mundiales for importing and selling Nestlé Mexico products.
Nestlé USA claims that Mexican products distributed by the two companies like Nescafé, Abuelita, Nido, Media Crema, Carnation, and La Lechera should only be sold in Mexico. In its complaint, Nestlé USA says the “parallel imports” have harmed their business because they are confusing consumers.
Ultra Distribuciones Internacionales isn’t sure why this lawsuit is happening now since Nestlé USA has known that they have been exporting these products for years.
“This is really an internal money battle between Nestlé USA and Nestlé Mexico, and the American consumer is the one who stands to lose,” Ultra Distribuciones Internacionales lawyer Daniel Pulecio-Boek told Axios. “Consumers know exactly what they are buying – culturally familiar goods that in many cases remind them of home.”
According to Axios, if Nestlé USA wins, the Mexican products could be removed from U.S. stores.
“Nestlé USA better get it together bc no one is gonna buy an expensive, synthetic version of Abuelita chocolate,” one social media user wrote.
Another explained to Nestlé USA that if they took Abuelita Chocolate away, they’ll simply head to Mexico for the product. “You best not be thinking that I’m going to be buying your products because I’d rather go to Juarez and buy the stuff I like there,” they wrote.
Can you imagine going into your grocery store and not finding Abuelita Chocolate? What’s next, pan dulce and piloncillo?